LUXEMBOURG – The European Union agreed on Monday to inform groups and people why they are put on its list of terrorist organisations, a move aimed at avoiding decisions being overturned in court.

Europe's second-highest court last year annulled an EU decision to freeze the funds of the People's Mujahideen, the armed wing of France-based National Council of Resistance of Iran, for failing to give it a fair hearing or adequate reasons.

The European Union has kept the group on its blacklist, having sent it a letter explaining its reasons.

EU foreign ministers meeting in Luxembourg on Monday agreed that reasons for blacklisting 29 other groups and more than 30 individuals remained valid.

'Therefore the Council intends to maintain (them) on the list,' a statement said.

'The persons, groups and entities concerned will be informed via a statement of reason of the specific information that form the basis of the Council's decision,' it said, adding groups would be allowed to comment on the decisions.

The reasons for blacklisting would only be revealed if a blacklisted group agreed to it, the statement said.

The EU blacklist includes the Palestinian Hamas group, Sri Lanka's Tamil Tigers and the Kurdistan Workers' Party (PKK). Blacklisting means groups are banned and have their assets frozen.

In a statement, the National Council of Resistance of Iran condemned the EU decision to keep the People's Mujahideen on its banned list and said the changes in the procedures were 'simply cosmetic changes to circumvent the court ruling'.